North Carolina Down Payment Assistance Programs

Payments Gateway - The North Carolina Housing Finance Agency has two excellent plans for First Time Home Buyers. These programs would be the Down Payment Assistance System along with the Mortgage Credit Certificate.

Should you qualify for one of these plans and you also purchase a home between December 1, 2009 and January 1, 2009, you may also qualify for the $8,000 tax credit just enacted into law.

First, who's a First Time Home Buyer? There is a first-time Home Buyer someone who has not owned a home in the past three years. Here is precisely the same qualifying definition for the $8,000 tax credit.

An MCC “reduces your tax liability depending on a share of the mortgage interest that you pay.

You can claim 20% of the interest you pay as a credit on your own federal income taxes should you are eligible for the MCC. It is possible to save around .

If you do qualify for 2009, for the MCC, you may find a way to unite this with the $8,000 tax credit. This would reduce the tax liability of a buyer's .

Who qualifies for an MCC is based on your own income along with the cost of the home you are purchasing. Household income means the “gross income of the mortgagor and every other man anticipated to live in the dwelling who is 18 years old or older.”

The income and house price limitations Durham and Chatham Counties are given below.

MCC Income Limitations 1 Man $61,500 2 Men $61,500 3 Persons $70,500 4 Individuals $70,500

MCC Sales Price Limits New Dwelling $220,000 Existing House $210,000

The purchaser just has to pay and the load would pay around .

This program has stricter income limitations than the MCC program outlined above. Like the MCC program, it might be used in combination with the new $8,000 tax credit on home purchases between January 1, 2009 and December 1, 2009. The deposit assistance, nevertheless, can't be used in combination together with the MCC. It is an either or situation.

House price limits that apply in Durham, Orange and Chatham Counties and the income are listed below.

Down Payment Assistance Income Limitations

1 Individual $39,950 2 Persons $45,650 3 Persons $51,350 4 Persons $57,050

Down Payment Assistance Sales Cost Limits New Dwelling $210,000 Existing Home $210,000